Leading gyms, including LA Fitness, are to make it easier to cancel and will
clean up contracts after a watchdog investigation.

Three leading health and fitness operators have been forced to improve their contracts for customers after an investigation by the Office of Fair Trading (OFT).

LA Fitness and Dave Whelan Sports, which have half a million members together, and Harlands Group, which manages more than 900,000 customer gym contracts, have agreed to offer better cancellation rights and make their contract terms more transparent.

It follows an agreement in March when Bannatyne Fitness, David Lloyd Leisure and Fitness First Clubs agreed to change their contract terms.

"This should be a warning to the rest of the industry that we will not hesitate to take action where we find evidence of consumers being treated unfairly, said Cavendish Elithorn, OFT executive director.

"As a result of our investigation, millions of gym members now have better contract terms, including improved cancellation rights that prevent them being unfairly locked in if their circumstances change."

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The changes make it easier for customers to cancel their contracts early if they lose their job or suffer an injury.

Key membership details, including initial membership periods and cancellation rights, will be highlighted as part of the sales process.

Mr Elithorn said: "Anyone considering joining a gym or health club should carefully consider the contract terms before signing up. Consumers should shop around and ask questions."

He added: "Alarm bells should ring if gyms are not being clear and upfront about their terms and conditions, including the length of the contract and cancellation rights. If consumers are told something that is not in the terms and conditions, they should ask for written confirmation."

The OFT is writing to 20 other health and fitness operators advising them to review their contract terms.

Gillian Guy, chief executive at Citizens Advice, said: "We helped with over 3,000 problems with gyms and health clubs over the last year.

"Gyms need to be up front with their customers about what is involved in their membership contracts. Those gyms that still haven’t done so should follow the example of those giving better cancellation rights or risk a consumer backlash."

The OFT launched its investigation in January 2012 after a High Court ruling against a gym management company found unfair contract terms and business practices. It has now closed its formal investigation, although it will continue to keep the sector under review.

Martin Long, chief executive at LA Fitness, said the gym had "fully cooperated" with the OFT's investigation.

"At the heart of the LA fitness offer is our desire to give members the best choice and value," he said.

A spokesman for Dave Whelan Sports said the company "firmly support" the OFT initiative to protect consumer rights.